Holistic Industries Inc., the fast-growing Washington, D.C. cannabis company that set out to raise $30 million in March, has closed its round at nearly double that target.
The 5-year-old business, which also has significant operations in Maryland, said Tuesday it has secured a $55 million convertible note in an oversubscribed offering led by Harbert Management Corp.’s Stoneview fund. That capital positions Holistic to penetrate new markets such as Missouri and West Virginia, break into new states — New Jersey, Virginia and Georgia could be next — and execute larger acquisitions, CEO Josh Genderson told the Washington Business Journal in late April.
“What we’re looking at now are more transformative M&A deals, bigger deals, bigger companies, lots more revenue,” Genderson said at the time, adding that one or two could happen within the next couple of months.
Holistic — a multistate cannabis operator with products, growing and processing facilities, and dispensary locations — is on track to double in size this year before initiating those deals. That involves headcount (its 500-person staff will double within the next 10 months); revenue (from more than $100 million in 2020 to more than $200 million this year); and footprint (its dispensary brand, Liberty Cannabis, will add 13 locations this year to its existing 15 sites).
